A and B are based on the following data, which are for a pumpkin farmer who can hire pumpkin pickers at $8.50 per day. part Number of pickers 1234567899 10 Value of pumpkin output (e) Briefly explain your answer. $30 48 62 72 80 84 87 89 90 91 A) The profit-maximizing pumpkin farmer should hire only (a) One pumpkin picker because his contribution to output is greatest. Three pumpkin pickers because the fourth costs more than he earns. Four pumpkin pickers because the fifth costs more than he earns. (b) (c) (d) Nine pumpkin pickers because the value of the marginal product of the tenth picker is zero. Ten pumpkin pickers because costs will equal revenue. B) The Great Pumpkin, in an attempt to make the pumpkin pickers better off, legislates that pumpkin pickers must be paid a wage no less than $14.50 per day. If our profit-maximizing farmer complies, which of the following will be correct? (a) The quantity of pumpkin output will fall. (b) The value of the average product of labor will fall. Each of the pumpkin pickers our farmer had previously hired will become better off. Briefly explain your answer(s).

A and B are based on the following data, which are for a pumpkin farmer who can hire pumpkin pickers at $8.50 per day. part Number of pickers 1234567899 10 Value of pumpkin output (e) Briefly explain your answer. $30 48 62 72 80 84 87 89 90 91 A) The profit-maximizing pumpkin farmer should hire only (a) One pumpkin picker because his contribution to output is greatest. Three pumpkin pickers because the fourth costs more than he earns. Four pumpkin pickers because the fifth costs more than he earns. (b) (c) (d) Nine pumpkin pickers because the value of the marginal product of the tenth picker is zero. Ten pumpkin pickers because costs will equal revenue. B) The Great Pumpkin, in an attempt to make the pumpkin pickers better off, legislates that pumpkin pickers must be paid a wage no less than $14.50 per day. If our profit-maximizing farmer complies, which of the following will be correct? (a) The quantity of pumpkin output will fall. (b) The value of the average product of labor will fall. Each of the pumpkin pickers our farmer had previously hired will become better off. Briefly explain your answer(s).

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter6: Proudction Costs

Section: Chapter Questions

Problem 8SQP

See similar textbooks

Similar questions

Which costs are measured on per-unit basis: fixed costs, average cost, avenge variable cost, variable costs, and marginal cost?
Which of the following cost functions exhibits cost complementarity? why? A -302 - 4018. 50102 - 01 C. 0201 - 201 D. -50102 - 701
(11) When the total product curve is falling, the: (a) marginal product of labor is zero. (b) marginal product of labor is negative. (c) average product of labor is increasing. (d) average product of labor must be negative.
9 - The total cost (TC) of producing computer software diskettes (Q) is given as: TC = 200 + 5Q. What is the average fixed cost? a) 200 b) 5Q 5 + (200/Q) 13742002 200/Q
The figure shows graphs of the total cost function and the total revenue function for a commodity. (Assume cost and revenue are measured in dollars.) 500 400 300 200 100 میرا 10 20 30 (a) Label each function correctly. function A -Select- function B -Select- (b) Determine the fixed costs. (c) Locate the break-even point. A B 40 50 60 Determine the number of units sold to break even. units (d) Estimate the marginal cost MC and marginal revenue MR. MC = MR-
(11) Citizens of the country of Blackland produce and export oil and import food. In 2000 they produced $100 million worth of oil, all sold to neighbouring coun- tries. They purchased $60 million worth of food from neighbouring countries, all consumed by domestic citizens. At the beginning of 2000, the country of Black- land's net foreign asset position is $1,000 million and the rate of return on their net foreign asset position is 2%. Calculate the gross national product (GNP) of Blackland. (A) $100 million (B) $120 million (C) $160 million (D) $180 million
Table 11-7 Quantity of Lanterns 75 80 90 100 115 117 120 B) $32 C) SI1.1 Fixed Cost (dollars) 200 200 200 200 200 200 200 D) $8.1 Variable Cost (dollars) 170 230 810 1264 1480 Total Cost (dollars) 370 430 1464 Average Total Cost (dollars) Table 11-7 shows cost data for Lotus Lanterns, a producer of whimsical night lights. Refer to Table 11-7. What is the marginal cost per unit of production when the firm produces 100 lanterns? A) $420 4.93 5.36 7.67 11.8 12.5
Total cost (dollars per unit) B 100- 80 - 60 40 3 4 Output (units per hour) 2. 20
A special shoe manufacturer ABC Co. has costs of production as follows : Quantity: 0 1 2 3 4 5 6Total Variable Cost ($): 0 50 70 90 140 200 360 Fixed costs are $100 and the price of ABC shoe is $50 (a) The chief financial officer tells the CEO that it’s better to produce only one shoe this month. What could be the reason for this advice by the CFO? What are the firm’s profits at that level of production? Is this the best decision? Explain.
urgently need solution of J,K,L subparts please
Number of workers Total products Marginal product Fixed cost variable cost Marginal cost 0 0 $100 $0 1 900 $100 $100 2 1900 $100 $200 3 2400 $100 $300 (A) The highest productivity level (AP) of worker is achieved at which number of worker? Prove your opinion WIth calculation. (B) At each number of workers, calculate the marginal product (MP) and determined at which level of worker does diminishing marginal product begin? (C) Calculate the total cost used to produce 2400 units of Good Y. (D) Calculate the marginal cost (MC) at each level of worker Leave answers in 2 decimal place.
1. A steel bar manufacturer business can make 15000 bar a week. It is determined that to achieve this production, the company need to spend 90000 pesos weekly for materials, utilities and transportation. The manager also pays a fixed cost of 10000 pesos per week. HOW MUCH per steel bar should they sell to gain a profit of 40% of the total cost?